Talk of tapering was accompanied by a lot of contradicting criteria. B.S. Bernanke doesn't want the market to actually believe that tightening will occur but also doesn't want a hyperinflationary run on the currency.

That there is a risk of a hyperinflation is clear. To prevent a spike in interest rates, it's the flow rather than the stock as the nationalistic, dumbed-down Zero Hedge has pointed out because the bond vigilantes are front-running the FED and are dumping Treasuries as soon as they've made a profit. The only way to exit QE is if the Treasury runs a balanced budget for an extended period and the debt is run-down. That would take many years. The pump & dump across all markets is also, obviously, herding of sheeple into the dollar and peddled by the propagandists as "risk-on; risk-off", superseding earlier propaganda that gold was falling as shares were falling because those losing money on shares had to sell gold to cover the losses. Other propaganda includes telling the sheeple to keep six months spending in cash. Also, the 20 year wave of Baby Boomers requires real resources irrespective of the paper dollar amount. They'll have to increase price inflation.

Certainly, Max Kiester believes in the hyperinflation threat. He has repeatedly claimed that the debt deflation would somehow "overwhelm" B.S. Bernanke's ability to print limitless dollars out of thin air. Criticism of B.S. Bernanke by Kiester is conspicuous by its absence, despite zero interest rates, an explosion of the monetary base from $800bn to $3.4trn and an even more dramatic explosion of unlent reserves from $2bn to $1.9trn. So the Kiester is merely a distraction from what's really going on. Both Kiester and Gary North can see how desperate the situation in the US is, which is why both have tried to throw their fellow Amerikans under the bus with bad advice. Kiester only offers the odd bone to the suckers, such as Reggie Middleton's assessment that Facebook was overvalued. Kiester has espoused this scam himself, saying you always give the mark a dollar back in order to keep them sweet. North's latest article parrots the claim that the sheeple are not saving enough in a pension, whereas good advice would be to save but NOT in a financial product run by banksters.

Kiester's guttersniping, speciest slurs parrotting puerile BS about China, shows he wants to shout-down any views revealing the truth. It is tacit and unashamed admission that he is a propagandist. It's similar to amerikan quackonomist, Adam Posen's, blustering about "inflation nutters".

Kiester is not only a propaganda terrorist, but a financial cannibal!!

Meanwhile, Lauren Lyster's Capital Account has ended and been replaced by Prime Interest. Capital Account skirted the truth about gold, so Lyster received insults. Prime Interest is even more dumbed down and also nothing more than a distraction which isn't worth watching. I downloaded an episode of Capital Account once and Microsoft kindly downloaded a "patch" to vandalise, not only my operating system, but the file I'd downloaded. Now I have to transfer such files to another PC (which is not connected to the internet, unlike the PCs of US defence contractors), convert it into mpg format and then I can get round the Data Execution Prevention and even though this PC ALSO has DEP.

The herding of the sheeple is similar to that used against eurozone sovereign bonds. The corrupt ratings agencies didn't slash ratings all in one go. They reduced them step by step with many announcements and negative outlooks.

Herding of the sheeple out of gold is because either:

1) the gold price will be revalued in a one-off massive rise under a new monetary regime (the euro already accounts for far more international trade than the dollar), or
2) they want you to participate in a socialist confiscation e.g. with a bail-in, or
3) hyperinflation is planned or probable, or even
4) the gold price bull-run will simply continue.

It is unlikely that it's because they're short of gold unless it's for thousands of tonnes. Germany's 300 tonnes, which will take 7 years to deliver, only costs $12.5bn, for example.

As Doug Noland's CREDIT BUBBLE BULLETIN notes, the US shares market has been rising even as all other markets have been falling. This is probably to support the dollar. Most markets have fallen in unison, which propagandists have peddled as the "risk-on; risk-off" phenomenon or claims that gold is being sold off to cover losses on shares. More usual is a serial pump and dump whereby they're herded from one market to the next, each being pumped and then dumped. The dumping of all markets in unison (as well as Jamie Dimon's BS claim that market volatility will herald an end to QE) suggest that they want your savings to be in cash (and for now, shares) and would also explain why gold is targetted in particular. If the banksters are about to lend out the massive $1.9trn in unlent reserves (just $2bn in 2007), then Dimon is pre-empting this, trying to avoid a hyperinflationary run on the dollar and has also received illegal insider information from the FED which is owned by banks such as JPMorgan. Silver may be targetted even more, but only because they want the suckers to switch from gold. If successful, the herding out of gold would be followed by a big, one-off revaluation higher to close-out the sheeple.

Remember, the corrupt CME repeatedly raised margins on silver and then gold in 2011 as the price peaked in order to herd the sheeple out of the futures market.

Then Jamie Dimon thieved client funds from MF Global with one hedge fund manager setting her hair alight and then running around in circles on Kiester's show telling everyone the futures market could no longer be trusted. Then they did the same to PFG Best. This is desperation and smashing the price of gold below the cost of production is a desperate bluff!

I've made my living, Mr. Thompson, in large part as a gambler. Some days I make twenty bets, some days I make none. There are weeks, sometimes months, in fact, when I don't make any bet at all because ...

The smashdown of the gold price is an opportunity rather than a crisis.

You KNOW there's massive unpayable debt.
You KNOW this guarantees inflation, taxation and/or confiscation.
You KNOW they're inflating the montery base at a 30~40% annualised rate compared to gold's 2% average increase and with near-zero interest rates, there's simply no reason NOT to hold gold.
You KNOW that holding physical gold is the best protection against all of the above.

So the smashdown should be an opportunity and indeed many physical buyers of jewellery are undeterred.

However, for the investor it's an opportunity similar to the CDS sold to Goldman Sachs. The fees were so high that the seller of the CDS went round the home-borrowers and paid off their mortgage for them. In other words, GS's fraud was an opportunity. Only a sucker would be selling rather than buying now. Being a contrarian investor doesn't mean simply doing the opposite of the market. It means knowing when the market is out of kilter with the fundamentals and betting on those fundamentals re-asserting themselves. The only possible down-side is if they confiscate. But in 1933 (and 1966 in the UK) only about a half turned in their gold. Should confiscation occur, it would be wise to withold and pass the gold on to your descendants. It was 1974 when the amerikan gangster allowed the sheeple to once again hold gold, with the Hunt brothers using silver as an alternative and being taken outside, given a shake-down and having both their legs broken.

As for the alleged end of QE, B.S. Bernanke has been mooting this since the very first month of QE 4 Ever, Jan13. Yet, it ISN'T EVEN POSSIBLE for decades yet. The only way to avoid a spike in interest rates from an end to QE, or even a taper, would be for the US Treasury to balance the budget for MANY years and for the debt to be paid off. But that too would cause a massive deflation at a time when the US has the worst debt in all of history (and the UK is relatively even worse off). Yet, hilariously, the state-run BBC (which never knowingly tells the truth) talks as though the end of QE has already happened:The US economy has been recovering; as a result, the Fed Chairman Ben Bernanke has said that the US central bank will scale back its $85bn a month bond buying programme.
- Gold price falls below $1,200 an ounce

"I have directed secretary Connolly to suspend, temporarily, the convertability of the dollar into gold or other reserve assets."
- Richard Milhouse Nixon

Your dollar will be worth just as much tomorrow as it is today."
- Richard Milhouse Nixon

gork Post time: 2013-6-28 22:59
How Dumb Do You Have To Be To Sell Gold Now?

The smashdown of the gold price is an opportunity rath ...

hei you....................

gold broke below 1200 today...........

see you below 1000 soon........................

I've made my living, Mr. Thompson, in large part as a gambler. Some days I make twenty bets, some days I make none. There are weeks, sometimes months, in fact, when I don't make any bet at all because ...

gork Post time: 2013-6-28 22:59
How Dumb Do You Have To Be To Sell Gold Now?

The smashdown of the gold price is an opportunity rath ...

too long to read la.

but, going forward, if DJ goes down, gold goes down because no one got money.

if DJ goes up, gold goes down as as it increases the chance that QE will be pulled back.

For gold, it is lose - lose.........................

no winning option.

I've made my living, Mr. Thompson, in large part as a gambler. Some days I make twenty bets, some days I make none. There are weeks, sometimes months, in fact, when I don't make any bet at all because ...

So, because they're running out of gold, which is in backwardation, CME repeatedly raises margin requirements (and has done so again by 25% recently) and Jamie Dimon thieves client funds at MF Global, then at PFG Best. More recently he tells his clients not to just sell gold, but to short it and then he announces that increased volatility will herald the end of QE in order to prime the sheeple. Then, timed to co-incide with B.S. Bernanke's speech, the banksters smash the gold price yet again to provide the "special effects" to B.S. Bernanke's speech. This is what low-life they are and as usual such low-life are desperate, having thieved their way into debt, they're now going to try and thieve their way out of it too.

Clearly, QE cannot end until the Treasury stops running a deficit, reducing the supply of debt as B.S. Bernanke stops buying it.

But if the goons & thugs could do that, then they wouldn't have run up the debt on the taxsucker's tab in the first place (and which is used to buy favours from the crony capitalists). Furthermore it would allow the debt deflation to increase the value of the debt in real terms. So the likelihood of a balanced budget is far, far less than zero. QE, then, will go on indefinitely; for decades. The most ridiculous farce in all of history to deal with the worst debts in all of history.

Hyperinflation 100% guaranteed!

The banksters have been taking sheeple money for decades and they've spent it. Now they have to defraud the sheeple of the money that they're owed. They did it with the Great Depression and with stagflation. The only time they didn't need to do this was the prosperity of having a captured market after WW2 when the rest of the World had no industry left standing.

Get your savings out of the bankster system. Do not delay. Buy physical gold as soon as possible (only a small amount of physical silver at most). Don't let them confiscate it. Pass it on to your descendants if they violate your human and civil rights by banning it.